News

Mastercard and Visa to Face Another Card Interchange Class Action Suit

Mastercard and Visa are preparing for the fact that in the near future, they will once again have to become defendants in the proceedings in the framework of a multibillion-dollar lawsuit on the fact of fees for multilateral exchange (MIFs).

Mastercard and Visa to Face Another Card Interchange Class Action Suit

Source: Pixabay.com

The upcoming trial will take place in the UK. The local law firm Harcus Parker, which specializes in resolving issues related to commercial disputes, intends to file a lawsuit with the Competition Court of Appeal (CAT) on behalf of British firms. This lawsuit will be filed in a case in which compensation in the case of an appropriate decision of the judge may amount to more than 7.5 billion pounds.

Representatives of the law firm intend to provide evidence during the trial that Visa and Mastercard determine the number of exchange fees, focusing not on market circumstances, but on their own benefit contrary to objective factors.

Thomas Ross, a partner of Harcus Parker, said that these fees are illegal, and the practice of charging should be abolished. He also noted that the law firm acts in the interests of small and medium-sized enterprises in the UK.

Companies whose annual turnover before the coronavirus pandemic was less than 100 million pounds will be included in the application automatically. But these firms may declare their refusal to participate in the trial planned by lawyers. Companies with higher annual turnover figures will have to register to participate in the announced proceeding.

Last year, Harcus Parker filed a lawsuit of similar content against Visa and Mastercard. Then the firm demanded compensation from companies that charged MIFs for accepting payments using corporate credit cards.

Mastercard will also have to participate in the trial on the fact of another lawsuit, which is a collective one. This £14 billion lawsuit was filed due to exchange fees on behalf of British buyers.

As we have reported earlier, Mastercard & Binance to Launch Prepaid Crypto Card in Brazil.

Serhii Mikhailov

2273 Posts 0 Comments

Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.